Canvas Graphics Pty Ltd v Heidelberg Graphic Equipment Ltd & Ors [1995] FCA 469

CATCHWORDS Agency - claim for negligent misstatement - whether distributor had authority of manufacturer to make statement. Private International Law - negligent misstatement made to Australian outside Australia but damage caused and loss suffered in Australia - statement intended to be acted on in Australia - cause of action accrued in Australia. Contract - sale of goods - defective equipment - failure by seller to provide training - total failure of consideration - purchaser not liable for price or otherwise. Damages - commercial dealings - difficulties in establishing measure of damages having regard to business and other contingencies - wasted expenditure - loss of opportunities to make profit. Legislation: Trade Practices Act (1974) (Cth), s 52 Cases considered: Agency, Authority & Negligence: International Harvester Co. of Australia Pty Ltd v Carrigan's Hazeldene Pastoral Company (1958) 100 CLR 644 Dawson v World Travel Headquarters Pty Ltd (1980) 53 FLR 455 San Sebastian v Minister (1986) 162 CLR 340 Bryan v Maloney (1995) 69 ALJR 375 Private International Law: Diamond v Bank of London & Montreal Ltd (1979) 1 QB 333 Original Blouse Company Ltd v Bruck Mills Ltd (1963) 42 DLR (2d) 174 Voth v Manildra Flour Mills Pty Ltd (1990) 171 CLR 538 Damages: The Commonwealth of Australia v Amann Aviation Pty Ltd (1991) 174 CLR 64 Matter No. SG44 of 1994 CANVAS GRAPHICS PTY. LTD. v HEIDELBERG GRAPHIC EQUIPMENT LTD & ANOR and HEIDELBERG GRAPHICS EQUIPMENT LTD. v ANDREW KNOX & ASSOCIATES PTY. LTD. & ORS. BEAUMONT, LEE AND VON DOUSSA JJ. ADELAIDE 30 JUNE 1995

IN THE FEDERAL COURT ) OF AUSTRALIA ) SOUTH AUSTRALIA ) DISTRICT REGISTRY ) GENERAL DIVISION ) NO. SG44 of 1994 ON APPEAL FROM A SINGLE JUDGE OF THE FEDERAL COURT OF AUSTRALIA BETWEEN: CANVAS GRAPHICS PTY. LTD. Appellant and HEIDELBERG GRAPHIC EQUIPMENT LTD. First respondent MILES INC. Second respondent AND BETWEEN: HEIDELBERG GRAPHICS EQUIPMENT LTD. Cross-appellant and ANDREW KNOX & ASSOCIATES PTY. LTD. First cross-respondent CANVAS GRAPHICS PTY. LTD. Second cross-respondent ANDREW McKENZIE KNOX Third cross-respondent MINUTES OF ORDER THE COURT : BEAUMONT, LEE & VON DOUSSA JJ DATE OF ORDER : 30 JUNE 1995 WHERE MADE : ADELAIDE